A significant portion of young people not engaged in education, employment, or training (Neets) in the United Kingdom are living at home and relying on parental support rather than government benefits, according to new research.
Nearly one million individuals aged 16 to 24 fall into the Neet category. However, about 300,000 of them do not receive state assistance, a group described as “hidden” Neets. These young people are not claiming benefits or actively seeking government help to find work, making them less visible in official statistics.
The Institute for Fiscal Studies (IFS) analyzed data on this group and found that 80 percent live with their parents. The majority—82 percent—are aged 22 or 23, with many engaged in activities such as job searching, volunteering, or temporarily transitioning after university, including gap years. More than half of these hidden Neets hold a university degree, a stark contrast to the 12 percent among Neets who claim benefits.
Alan Milburn, the former Labour health secretary currently conducting a review of youth unemployment, described hidden Neets as “one of the most troubling findings” of his research earlier this year. His concern reflects the broader awareness of challenges faced by young people in the labour market amid economic uncertainty.
However, Jed Michael, the IFS research economist responsible for the study, offered a different perspective. He noted that policy discussions often portray hidden Neets as a highly vulnerable group excluded from government support, warranting targeted interventions. Yet, his findings indicate that hidden Neets are generally better positioned for employment than those receiving benefits. They tend to have shorter periods as Neets and report fewer health problems or disabilities.
The study also highlighted that these individuals could claim at least £4,000 annually in benefits but opt not to do so. Financial hardship appears limited among hidden Neets, with only 7 percent reporting significant difficulties in managing their finances.
This research sheds light on a complex segment of the youth population that challenges conventional approaches to addressing unemployment and educational disengagement. While many hidden Neets benefit from family support and maintain a proactive stance towards employment or skills development, the broader implications for social policy and labour market dynamics remain under discussion.
